Nigeria secures $2.4 billion currency deal with China

LAGOS, Nigeria — Nigeria and China have announced they will swap currency which will amount to nearly $2.4 billion — making trade between the two countries less reliant on the US dollar.

In a statement released by the People’s Bank of China (PBoC), the deal was signed on agreement with the Central Bank of Nigeria (CBN) on April 27 and aims to facilitate “bilateral trade and direct investment, and safeguarding financial market stability in both countries.”

The currency swap is valid for three years and can be renewed following the approval of both countries.

It has taken longer than anticipated, but FINALLY the Chinese Renminbi Swap Deal is here! 🙌Signed April 27, 2018, between @cenbank & the People's Bank of China. The Swap Facility is worth RMB 15 billion/NGN 720 billion; valid for three years, renewable.https://t.co/0B5gpQf7PLpic.twitter.com/BnJLZ3jj9r